The post “XRP ETF Poised to Outshine Ethereum ETF”, Says Canary Capital CEO appeared first on Coinpedia Fintech News
Optimism surrounding XRP has surged following the formal conclusion of Ripple’s legal dispute with the U.S. SEC. The development has cleared a major regulatory hurdle, setting the stage for potential XRP-focused exchange-traded funds. Canary Capital CEO Steven McClurg believes these products could surpass Ethereum ETFs in market performance.
Strategic Advantages for XRP ETFs
In a recent interview with Paul Barron, McClurg outlined three primary factors that could give XRP ETFs an edge over Ethereum ETFs: yield dynamics, market leadership, and community engagement.
He explained that Ethereum’s staking rewards of 2–3 percent may deter crypto-native investors from choosing an ETF, as they can earn similar returns by holding ETH directly. XRP, which does not offer staking, presents no such trade-off for ETF investors.
McClurg emphasized XRP’s established position as the leading blockchain for cross-border payments, remittances, and institutional settlement, drawing a comparison to Bitcoin’s dominance as a store of value.
He also highlighted the XRP community’s strong retail and institutional interest, which he believes could drive significant ETF inflows. According to his projections, a newly launched XRP ETF could attract up to five billion dollars in its first month, exceeding the early performance of Ethereum ETFs.
Approval Odds Surge with Regulatory Clarity
The legal resolution has significantly boosted approval expectations. Prediction market Polymarket now rates the odds of a 2025 XRP ETF launch at over 88%, up from just 53% the previous week. Bloomberg analysts have placed those odds even higher, nearing 95%. Futures-based XRP ETFs have already attracted over $1 billion in inflows, signaling growing institutional interest.
Moreover, even global interest in an XRP ETF has soared, with Google Trends data showing a 733% increase in search volume over the past month. The highest interest came from Canada, the U.S., South Korea, Singapore, and Israel.
Launch Outlook and Pricing Approach
Meanwhile, Canary Capital has already applied for an XRP ETF. McClurg expressed confidence that the product could debut before the end of 2025, with a possibility of an earlier launch. The firm intends to use an alternative pricing index instead of the CME benchmark to provide broader coverage of crypto-native markets.
Regulatory Clarity After Lawsuit Closure
The SEC has officially moved to dismiss its appeal in the Ripple case, confirming the lawsuit’s closure. SEC Commissioner Hester Peirce publicly acknowledged the resolution, noting the opportunity to focus on clearer crypto regulations. Australian lawyer Bill Morgan also addressed lingering doubts within the XRP community, affirming that the case has reached its conclusion.
With the legal dispute behind it, Ripple is positioned to advance without regulatory litigation concerns, paving the way for potential XRP ETF approvals and renewed institutional engagement.
Never Miss a Beat in the Crypto World!
Stay ahead with breaking news, expert analysis, and real-time updates on the latest trends in Bitcoin, altcoins, DeFi, NFTs, and more.
FAQs
Ripple’s SEC lawsuit win removed major hurdles, boosting confidence in XRP ETF approvals.
No staking trade-off, payments leadership, and strong community may drive higher inflows.
Bloomberg pegs approval odds near 95%, with Polymarket estimating over 88%.
Canary Capital targets a debut before the end of 2025, possibly sooner.
